Friedman: An online auction benefits all buyers. Our auctions, in almost all cases, feature assets sold individually and not in large pools that enable private buyers to bid competitively with institutional buyers. In turn, institutional buyers are able to cherry pick assets that more closely fit with their buying strategies. The addition that all the bidding occurs online makes it even more convenient for both bidders. It is a win-win solution for both all types of buyers and sellers. Buyers are enabled and sellers benefit from the addition of competition to maximize potential returns.

GlobeSt.com: How does Auction.com handle the due diligence for an online auction?

Friedman: The due-diligence provided by Auction.com is a very involved process between the seller, the broker and our own asset management team. We work very diligently to acquire the most recent information on each asset, including Broker Opinion of Value’s, Rent Rolls, expense reports, and condition reports. Many assets have dozens of documents in our due diligence data vaults.

GlobeSt.com: Are the properties/assets sold getting their true market value? How is this value being determined today?

Friedman: Absolutely. The auction process itself defines what true market value is, especially if the auction is marketed properly. In today’s market there are very motivated sellers and very motivated buyers. We bring these two groups together to transact on an efficient and transparent platform. Sellers use Auction.com to bring these assets to market because they are confident that buyers who use the online auction platform are properly verified and eager to buy at a fair price. In turn, buyers participate in Auction.com online events because sellers understand the value of an asset is determined by the market.

GlobeSt.com: I know you have an upcoming West Coast auction set for April 16-19? What are some of the highlights?

Friedman: Our upcoming West Coast auction features over $400 million in commercial real estate properties and notes secured by commercial real estate properties. The assets are spread across eight states including Arizona, California, Hawaii, Idaho, Oregon, Utah, Washington and Wyoming with the vast majority in California. Over 90 commercial assets are scheduled to be auctioned across all asset types including Multi-Family, Retail, Office, Hospitality, Self-Storage, Industrial, land and more. Some of the highlights as are follows:

Commercial Real Estate Properties
*213,282-square-foot office building adjacent to LAX in Los Angeles, CA, with a starting bid of $500,000.
*135 key hotel in Yuma, AZ, with a starting bid of $250,000
* 23,579-square-foot office building in Anaheim, CA, with a starting bid of $500,000
*1-million-square-foot industrial building in Hanford, CA, with a starting bid of $3.7 million
*49,756-square-foot retail center in Sacramento with a starting bid of $3 million
*82,663-square-foot office building in Temecula, CA, with a starting bid of $2.2 million
*206 key hotel in Kapaa, HI, with a starting bid of $400,000

Notes Secured by Commercial Real Estate Properties
*$18.99 million non-performing loan secured by a 666,575-square-foot industrial asset in Antioch, CA, with a starting bid of $5.5 million
* $13.825 million non-performing loan secured by a 136 unit multifamily asset in Moreno Valley, CA, with a starting bid of $4 million
*$15.1 million non-performing loan secured by a 89,464-square-foot retail asset in Northridge, CA, with a starting bid of $4.5 million
*$4.063 million non-performing loan secured by a 78,610-square-foot and 679 unit self-storage asset in Antioch, CA, with a starting bid of $1.5 million
*$20.583 million non-performing loan secured by a 274,010-square-foot office asset in Seattle, WA, with a starting bid of $2 million. This asset is the former headquarters of Amazon.com.

GlobeSt.com: How is Auction.com working with commercial real estate brokers to sell properties?

Friedman: Auction.com works with the nation’s largest banks and special servicers, but also directly with brokerages and brokers to auction their listings utilizing our massive marketing campaigns and online platform. Our marketing strategies can reach a wider range of potential buyers whereas a local Broker would most likely concentrate in their local area. With Auction.com’s global efforts and the Broker’s local expertise, we can make certain to market to all angles of potential Buyers. We work directly with brokers to help promote their listings utilizing our unique auction solution for commercial real estate. Our advantage is that we aggregate commercial real estate assets from multiple sources and market our events aggressively to ensure that sellers are confident that their assets are well represented in the marketplace and buyers, both local and institutional, are alerted to the opportunity that our auction events present. In this way, Auction.com is the market-maker for both buyers and sellers.